Statkraft hit by lower offshore generation

NORWAY: Statkraft has reported lower earnings for its wind division in the second quarter following a fall off in production from its Sheringham Shoal offshore wind farm in the UK.

by Patrick Smith 21 August 2014

Lower production at Sheringham Shoal meant a lower EBITDA for Statkraft

The Norwegian energy firm revealed that underlying earnings before interest, taxes, depreciation and amortisation (EBITDA) for its wind operations were NOK 68 million (€8.3 million), compared with NOK 112 million at the same time last year.

Statkraft said that this was "primarily due to lower production from the Sheringham Shoal offshore wind farm as a result of less wind, in addition to increased project activity in Norway and the UK".

This decline was somewhat offset by new wind power plants coming online in Sweden and the UK.

The slump in EBITDA was despite an increase in underlying revenues to NOK 233 million, from NOK 210 million previously.

In total, the division generated 0.4 TWh in the second quarter, up from 0.3TWh, with 0.1 TWh coming from Statkraft's share in Sheringham Shoal.

Statkraft made a joint investment decision with Statoil in July to go ahead with the 402MW Dudgeon offshore wind farm off the coast of Norfolk in the UK.